Amd

Maybe check out Joel Greenblatt's "The Little Book the Beats the Market", John Wiley (2006).

It's an easy read, and Greenblatt suggests a number of good ways to look at and calculate a companies worth.

Book value is unreliable in my opinion.

 

thanks. that book was recommended to me as well.

also, in what aspect do you think book value is unreliable ?

 

Well let's suppose you wanted to add up the market value of everything you own (your net assets in other words). Not what you paid for something but what you could get if you sold it. How reliable do you think that number would be? Let's suppose you had no idea what something was worth so you asked an accountant to add up the values for you using some rather arbitrary formulas using depreciation and bla bla bla. How reliable would that number be?

In reality most companies are worth more in the market place than their book values because a considerable part of their total value to a potential buyer is "goodwill".

 

AMD: To Merge Or Not To Merge?

The past 19 months certainly haven't been easy for the green team from Sunnyvale. Lately, we have seen persistent rumors that AMD has become an acquisition target, leading us to look a bit closer into what's really going on. To merge or not to merge, that is the question

You have to admit, it is somewhat obvious. AMD has been trading below a $4 billion market value for some time and there are many companies out there, which could purchase AMD in a snap, if they wanted to get into the CPU business. So these acquisition rumors aren't really surprising. We believe that AMD could a very interesting target for an acquisition and there are two obvious candidates. Let's take this step by step.

http://www.tomshardware.com/2008/02/14/amd_merge_or_not/index.html

 

AMD

<img src="http://elitetrader.com/vb/attachment.php?s=&postid=1795390">

 

Loading up on more AMD. Great article on Tom's Hardware, by the way - an interesting vantage point from an unusual source (non-trading oriented article).

 

bought AMD @ 6.40

 

Good idea. I dont see it going lower than 5.30 at worst. The upside is promising.

 

its going to lower probably, but its okay, i am holding this company for long term

 

Same here.

Anytime it dips below 6, I'm accumulating.

I like their JV work with IBM, and I think they will get their 45nm fab right soon.

I'm just building a heavy position, slowly but surely.